Question
I do not understand why I cannot get part 4 of this correct, I took 782,025 + 6,159,800 - 1,752 - 3,185 - 858,711 which
I do not understand why I cannot get part 4 of this correct, I took 782,025 + 6,159,800 - 1,752 - 3,185 - 858,711 which gave me 6,078,176. The program is telling me this is wrong, so I am really unsure what I am overlooking here. Thanks!
Question is:
4. | Assuming that all sales are made on a credit basis, what is the amount of cash Symantec collected from customers during the 2009 fiscal year? (Enter your answer in thousands.) |
Background info:
Symantec Corp., located in Cupertino, California, is one of the world's largest producers of security and systems management software. The company's consolidated balance sheets for the 2009 and 2008 fiscal years included the following ($ in thousands): |
2009 | 2008 | ||||
Current assets: | |||||
Receivables, less allowances of $21,301 in 2009 and $23,624 in 2008 | $ | 837,410 | $ | 758,400 | |
A disclosure note accompanying the financial statements reported the following ($ in thousands): |
Year Ended | |||||
2009 | 2008 | ||||
(In thousands) | |||||
Trade accounts receivable, net: | |||||
Receivables | $ | 858,711 | $ | 782,024 | |
Less: allowance for doubtful accounts | (8,893) | (8,945) | |||
Less: reserve for product returns | (12,408) | (14,679) | |||
Trade accounts receivable, net: | $ | 837,410 | $ | 758,400 | |
Assume that the company reported bad debt expense in 2009 of $1,700 and had products returned for credit totaling $3,185 (sales price). Net sales for 2009 were $6,159,800 (all numbers in thousands). |
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